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In this tutorial, attorney Elizabeth Potts Weinstein discusses the process of closing or canceling your EIN (Employer Identification Number) with the IRS when shutting down your business. An EIN serves as a tax identification number, similar to a social security number for individuals, and is applicable whether you operate as a sole proprietorship, LLC, or corporation. Closing your EIN is essential to avoid any future tax filings, payments, or obligations related to a non-existent business. Additionally, this action helps prevent potential fraud, as leaving accounts open could allow unauthorized individuals to misuse the information.
